Sat, Jul 26, 2014, 1:07 AM EDT - U.S. Markets closed

Recent

% | $
Click the to save as a favorite.

Redwood Trust, Inc. Message Board

  • moncriefjj moncriefjj May 2, 2013 4:42 PM Flag

    What do we think of the new earnings report?

    Looks good to me, but without stated expectations, it's hard to tell. Man, this thing has a low volume. That in itself is a little concerning. Thoughts on tomorrow (if anyone's reading)?

    SortNewest  |  Oldest  |  Most Replied Expand all replies
    • To make the Q1 earning even more impressive, its GAAP income is $61M, vs $41M in Q4 2012. This $61M is after deducting 11M of provision for tax. the 2012 number has no tax provision in there.

    • Analysts' expectations were in a range of 33-55 cents per share, with average of 46 cents per share, excluding special items.
      Redwood Trust is firing on all cylinders, with growth accelerating on both residential and commercial mortgage areas, while it is building yet another growth area with Fannie, Freddie and servicing business. According to the Redwood Review, in the first 4 month of the year, it already securitized 6 deals totaling ~3 billion, more than it did the whole year in 2012 (2 billions). Its original 2013 target of $7 billion and the revised target of $8 billion look conservative to me.
      Redwood can certainly afford to bring the dividend up significantly if it wants to. With the general market desperate for yield, any dividend increase combined with further business expansion will bring the stock
      price up to another level.
      The Redwood management team is simply the best in the industry in my opinion. It successfully survived the crisis in 2008/2009, transformed and redefined the companies, expanded into commercial mortgage and jumbo residential businesses. Now it is time for the shareholders to get rewarded for their patience!

      Sentiment: Buy

    • Looks good from outset. It is hard to tell. Low volume can work both ways......if street likes results, it will work good for us longs tomorrow.

 
RWT
19.20-0.08(-0.41%)Jul 25 4:04 PMEDT

Trending Tickers

i
Trending Tickers features significant U.S. stocks showing the most dramatic increase in user interest in Yahoo Finance in the previous hour over historic norms. The list is limited to those equities which trade at least 100,000 shares on an average day and have a market cap of more than $300 million.